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Limited control over market responses: the government has limited control over the consequences of its actions
Limited control over bureaucracy: parliament, government and local government design some government agency. The agency may also be responsible for ensuring the regulations are enforced.
Limitations imposed by the political process: choosing among many alternatives through the political process would raise conditional probabilities. This is because the government affects many people but are decided upon by a limited group. The decision makers have to ascertain the preferences of their constituencies and they have to find some way of reconciling among conflicting preferences. Government may therefore act in an inconsistent manner.
Faimus answered the question on February 25, 2019 at 19:25
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